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Colgate-Palmolive (CL) Ascends While Market Falls: Some Facts to Note

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In the latest market close, Colgate-Palmolive (CL - Free Report) reached $86.75, with a +0.67% movement compared to the previous day. The stock's performance was ahead of the S&P 500's daily loss of 0.58%. At the same time, the Dow lost 0.12%, and the tech-heavy Nasdaq lost 1.15%.

Prior to today's trading, shares of the consumer products maker had lost 2.93% over the past month. This has was narrower than the Consumer Staples sector's loss of 4.32% and lagged the S&P 500's loss of 1.09% in that time.

Analysts and investors alike will be keeping a close eye on the performance of Colgate-Palmolive in its upcoming earnings disclosure. The company's earnings report is set to go public on April 26, 2024. The company is forecasted to report an EPS of $0.82, showcasing a 12.33% upward movement from the corresponding quarter of the prior year. Alongside, our most recent consensus estimate is anticipating revenue of $4.95 billion, indicating a 3.75% upward movement from the same quarter last year.

Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $3.49 per share and revenue of $20.16 billion, indicating changes of +8.05% and +3.6%, respectively, compared to the previous year.

Investors should also pay attention to any latest changes in analyst estimates for Colgate-Palmolive. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, there's been a 0.11% rise in the Zacks Consensus EPS estimate. Right now, Colgate-Palmolive possesses a Zacks Rank of #2 (Buy).

In the context of valuation, Colgate-Palmolive is at present trading with a Forward P/E ratio of 24.67. This indicates a premium in contrast to its industry's Forward P/E of 24.19.

It is also worth noting that CL currently has a PEG ratio of 3.24. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. As the market closed yesterday, the Soap and Cleaning Materials industry was having an average PEG ratio of 3.22.

The Soap and Cleaning Materials industry is part of the Consumer Staples sector. With its current Zacks Industry Rank of 98, this industry ranks in the top 39% of all industries, numbering over 250.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Ensure to harness to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.

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